1, 2018, Arrow Construction Company entered into a three-year construction contract to build hridge for a price of $8.000,000. During 2018, costs of $2,000,000 were incurred with estimated costs of 000 yet to be incurred. Billings of $2,500,000 were sent, and cash collected was $2.250.000. 19, costs incurred were $2,500,000 with remaining costs estimated to be $3,600.000. 2019 billings were eene In 201 $2, 750,000, and $2,475,000 cash was collected. The project was completed in 2020 after additional costs 055 re incurred. The company's fiscal year-end is December 31. Arrow recognizes revenue over time according to percentage of completion Required: 1. Calculate the amount of revenue and gross profit or loss to be recognized in each of the three years. 2. Prepare journal entries for 2018 and 2019 to record the transactions described (credit "various accounts" for construction costs incurred). 3. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2018 and 2019